A blog covering the use of programming languages and statistical methods in finance, with general finance topics as filler when the cool stuff has already been said. The chart makes it easy to see how the rising prices are prevented from going any higher (by the area of resistance). At 2 (in the Eur/Usd chart above), institutional traders who believe the market is over-valued initiate more sell orders. At 3 (in the Eur/Usd chart above), all market participants are now taking notice of what appears to be a significant resistance level. Investors look closely at trends to make a judgment about the current and future direction of a stock.
Support and resistance levels on a chart are a graphic illustration of crowd psychology and are observable in all financial markets. In 100 Years of Inflation-Adjusted Housing Price History we saw that since 1900 U.S. housing prices have increased only slightly more than inflation. For many readers, this result is surprising – especially when compared to inflation-adjusted stock market returns (which, by the way, do not include the impact of reinvested dividends). Following are some key factors that help explain the relatively slow growth in housing prices.
However, to the extent that it lowers the cost of new homes, increases in productivity will tend to constrain the growth in home prices. For lists of other popular posts and an index of stock market posts, by subject area, see the sidebar to the left or the blog header at the top of the page. I suspect the real issue for him was not necessarily the housing results, but the huge difference between the housing and stock market results.
However, my gut says it would be simpler for this very high level look to make the two investments more comparable by removing the income stream from the stock market side (rather than trying to add it to the housing side). So if you see an error message related to this when downloading USD / INR historical data, you should either register or wait another day. A company chart is simply a graphical representation of the price movement over a period of time.
Reviewing the historical stock prices & data along with the total volume generated during the trading day in relation to the closing price for the day can assist in this process. You are strictly looking at the security’s past trading date to determine where you think the security might go in the future (albeit in an hour, tomorrow, in a week, in a year, etc.). One can look at a stock’s past trading data via chart patterns, technical indicators, and a few others.